A run-down psychiatric hospital in Ennis, Co Clare looks set to close despite the failure of nurses to achieve a £5,000 (€6,350) package each to allow the closure to proceed.
Last month, after almost two years of talks, both the Psychiatric Nurses' Association (PNA) and SIPTU made the demand to allow the 19th century hospital to close and a £10 million programme to disperse the hospital's 190 patients to various centres around Clare to proceed.
The various centres have been left vacant over the past 12 months ready to accept patients as talks between the Mid-Western Health Board and the unions dragged on.
The need for a resolution was highlighted by the most recent report by the inspector of mental hospitals, Dr Dermot Walsh who stated that conditions at the hospital were "very poor".
He stated: "Unsatisfactory conditions prevailed in virtually every one of the inpatient units so the imminent move would undoubtedly be to the advantage of all concerned."
The health board no longer owns the hospital and is paying £6,200 a month in rent to Clare County Council, which is to establish its administrative headquarters there.
However, it appeared yesterday that a deal had been reached following an emergency session of the Labour Relations Commission (LRC), chaired by Mr Tom Pomphret.
Mr Des Kavanagh, general secretary of the PNA, said yesterday that he would recommending "very strongly" the package to his members, who make up the majority of the 180 nurses at the hospital.
Expressing satisfaction with the deal, Mr Kavanagh confirmed that Mr Pomphret has written to the parties recommending that the package be accepted.
Mr Kavanagh said a number of issues identified by members at a recent meeting were dealt with at the LRC meeting, including adequate staffing levels.
Prior to the talks, the health board's offer stood at £2,400 - less than half what nurses were seeking.
However after a day of bargaining, a number of the nurses will receive over £3,000.
The deal struck involves nurses receiving £2,400 plus 5 per cent as part of the National Wage Agreement, together with an additional lump sum depending on length of service with the health board.
Nurses with over 30 years' experience are to receive an additional sum of £500; those with between 20 and 30 years' service will receive £400, while those with between 10 and 20 years' service will receive £200.
Those with up to 10 years' experience will not to receive any additional lump sum.
A spokeswoman for Our Lady's Hospital confirmed yesterday that it has got agreement with the union representatives at the LRC, adding that she was hopeful the union members would vote to accept the deal.
Optimistic that the unions will accept the deal, the health board has put in place a programme for the closure of the hospital and the dispersal of the patients as part of its £10 million programme.
The dispersal will begin on December 8th when 40 patients will be relocated to a new £4.5 million acute psychiatric unit and will continue until February to six other high and medium-support centres throughout the county. Mr Kavanagh said balloting of members will begin on Monday.